Korean Air will keep Asiana Airlines miles for 10 years and open the way for buying Korean Air tickets with Asiana miles. Because partner miles earned through credit card spending and other means lose value when converted to Korean Air miles, it is advantageous for consumers to use them within 10 years by purchasing tickets or upgrading seats. When buying Korean Air business-class seats on some routes such as Southeast Asia and Guam with miles, the Asiana standard, which requires fewer miles, will apply.
According to Korean Air and the Fair Trade Commission on the 30th, Korean Air decided to manage Asiana miles separately for 10 years from the merger date even if Asiana's corporate entity is dissolved. You can use Asiana miles as before without converting them to Korean Air miles. The mileage integration plan announced that day will be implemented after collecting public comments and receiving final approval from the Fair Trade Commission.
Asiana customers can keep their Asiana miles as they are for 10 years, and may convert them to Korean Air miles in the meantime. Miles earned by flying will convert at a 1-to-1 rate, but partner miles earned through credit card spending and other means will be converted at a 1-to-0.82 ratio. In other words, partner miles lose value if converted to Korean Air miles. After 10 years from the merger, all Asiana miles will be automatically converted to Korean Air miles.
For consumers holding Asiana miles, it is advantageous not to convert them to Korean Air miles and to use them within 10 years to buy tickets or upgrade seat class. Korean Air has allowed Asiana's mileage deduction standard to be applied as is to purchasing Korean Air economy and business seats and to seat upgrades.
The miles needed to purchase economy seats are the same at both Korean Air and Asiana. For example, on North America routes (departing from Korea), both companies require 35,000 miles one way during off-peak season for economy.
However, business class needs to be assessed by route. Asiana's business class is divided into regular and Smartium, and going forward, when purchasing Korean Air business class, Asiana's regular business-class deduction standard will basically apply. However, for Europe, the Middle East, North America and Oceania, Asiana operates only Smartium seats, which are 10,000 miles more one way than regular business class. The miles deducted are 62,500 miles one way, the same as Korean Air.
When buying business class on Southeast Asia, Guam, and Southwest Asia routes, using Asiana miles is far more advantageous. To buy business class on Southeast Asia and Guam routes with Korean Air miles, you need 35,000 miles one way, whereas Asiana requires only 30,000. Southwest Asia business class also costs 7,500 fewer miles one way if purchased with Asiana miles. Note that Asiana currently has no first class, so you cannot buy Korean Air first class with Asiana miles.
Usage has also expanded for consumers holding fewer Asiana miles. That is because the mixed payment method, currently operated only by Korean Air, will be introduced at Asiana Airlines as well. Mixed payment allows you to pay for economy seats by combining cash or card with miles. Up to 30% of the airfare can be covered with miles.
Consumers have voiced complaints that there are too few seats available for purchase with miles and too few business-class seats available for upgrades. For consumers holding Korean Air miles, competition for seats could intensify when Asiana consumers flow in. Korean Air plans to keep the supply of mileage seats and business-class seats upgradable with miles at or above the level before the date of the corporate consolidation (Dec. 12 last year).